Gujarat-based Omnitech Engineering, which manufactures precision engineered components and assemblies, has filed preliminary papers with the capital markets regulator Sebi on June 23 to raise up to Rs 850 crore via an initial public offering (IPO).
The IPO will comprise of fresh issuance of equity shares worth Rs 520 crore, and an offer-for-sale of Rs 330 crore worth shares by promoter Udaykumar Arunkumar Parekh, as per the DRHP. The company may consider fund raising up to Rs 104 crore in the pre-IPO round.
Of the net fresh issue proceeds, Omnitech Engineering will utilise Rs 140 crore for repayment of debt, and Rs 213.7 crore for setting up of two new manufacturing facilities. Further, Rs 15.7 crore will be used for purchase and installation of solar panels on the rooftop, and, purchase of new equipment / machinery for existing manufacturing facility. The remainder of the funds will be set aside for general corporate purposes.
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As of April 2025, Omnitech said its total outstanding indebtedness was Rs 316.1 crore.
The products manufactured by Omnitech Engineering are used in several industries such as energy, motion control and automation, and industrial equipment systems, which contributed 42 percent, 36 percent, and 20 percent to the revenue numbers for the fiscal 2025.
On the financial front, the net profit for the fiscal 2025 grew significantly by 132 percent to Rs 43.9 crore and revenue increased by 92.5 percent to Rs 342.9 crore compared to previous fiscal. However, in the fiscal 2024, profit had dropped sharply by 41.4 percent to Rs 18.9 crore and revenue rose by 0.5 percent to Rs 178.2 crore compared to FY23.
Omnitech Engineering that competes with listed entities like Azad Engineering, Unimech Aerospace and Manufacturing, PTC Industries, MTAR Technologies, and Dynamatic Technologies had an order book of Rs 1,289.3 crore as of April 2025, constituting 403 percent of its revenue from sale of products and services for FY25.
Equirus Capital, and ICICI Securities are appointed as book running lead managers to handle the Omnitech Engineering IPO.
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